A mistake by Halifax meant a reader couldn't close their mortgage with the
bank

Halifax’s delay in closing our mortgage properly resulted in it attempting to collect a further mortgage payment by direct debit. We were assured five weeks ago that the Halifax had made an error and would rectify it – but this small glitch is rapidly snowballing.

DE, East Sussex

You had sent the correct redemption monies totalling £121,521.44 when you sold your house and moved. However, Halifax, the bank in question with which you have had problems in the past, disconcertingly recorded that there was a shortfall in what you had paid back.

Although it reversed its record about this and updated it on the same day, regrettably it then wrote six days later to your wife, saying: “Please be advised that there is a shortfall of £73.87 in the amount received to repay the above mortgage.

“Please forward the shortfall funds as soon as possible. Until we receive the funds to allow us to close the mortgage, we regret we are unable to vacate our interest in the property and issue the discharge documents…”

Naturally you were cross and rather worried. It now transpires that this letter had been sent by mistake. Although it was promised this would be sorted out, there was still a delay in closing the mortgage properly. This resulted in the bank attempting to collect a further mortgage payment by direct debit.

My contact with the bank led to it confirming to you and your solicitor that the mortgage was now fully repaid. Halifax apologises for letting you down.

In recognition of the inconvenience caused and any associated costs you may have incurred, it has arranged to pay you £125. Moving home is traumatic enough without this sort of hassle.